Historical Trade Ties Evolve
The enduring trade relationship between Europe and the UAE has recently gained heightened significance, notably post the challenges posed by the Covid-19 pandemic. European investors, ranging from startups to major corporations, are displaying renewed interest in establishing businesses in Dubai. The spectrum of European investments spans diverse sectors such as tourism, transport, IT, financial services, food processing, e-commerce, and real estate.
Streamlining Business Setup with Consultants
Engaging business setup consultants like MEA MARKET RESEARCH in Dubai proves instrumental for European entrepreneurs, easing the intricacies of the licensing process. As the trade connections between the UAE and EU nations become increasingly pivotal, it’s worth exploring why European investors should opt for a business setup in Dubai.
1. UAE’s Pandemic Resilience
While Europe grappled with various Covid-19 variants, the UAE, including Dubai, remained open for international travelers with low infection rates. Currently leading in Bloomberg’s Covid Resilience ranking, the UAE’s high vaccination rate and accessible testing attracted European investors seeking stability amid the pandemic.
2. Impact of Expo 2020
Dubai’s successful hosting of Expo 2020, with significant European participation, showcases the country’s resilience. The aftermath of Expo 2020 is anticipated to witness a surge in European investments, with the Expo site transformed into District 2020, a dedicated zone for company formations.
3. Opportunities in Dubai Real Estate
The landscape for business setup in Dubai aligns favorably for European investors eyeing the real estate sector. European investors, particularly from the UK, Italy, and France, dominated the market in the first quarter of 2022. With the growing demand for properties, business setup consultants facilitate Europeans in establishing real estate-related ventures in Dubai.
4. New Visa Reforms
Recent residency reforms, including the Golden Visa and Green Visa, played a pivotal role in attracting European investors. The Golden Visa offers a decade-long residency, while the Green Visa provides a five-year residency for skilled professionals. These reforms have streamlined the business setup process for European investors, making it easier to sponsor family members.
5. Low Taxation in the UAE
The UAE’s business-friendly tax environment, with a current Value Added Tax (VAT) rate of 5%, attracts investors. Even with the introduction of a corporate tax from June 2023, set at 9%, the UAE maintains the lowest corporate tax rate in the Middle East. Business setup consultants help European investors comprehend the relevant tax structures.
6. No Need for Local UAE Partnerships
The requirement for local sponsorship has been lifted for mainland businesses, allowing 100% ownership for foreign investors. Since June 2021, foreigners can initiate a Limited Liability Company (LLC) on the mainland without the need for a local sponsor holding a majority of shares. This regulatory change enhances the ease of business setup in Dubai for European investors.
Seamless Business Setup with Jitendra Business Consultants (JBC)
To leverage these benefits, European investors can turn to business setup consultants in Dubai, such as MEA Market Research. MEA MArket Research’s seasoned management consultants offer comprehensive solutions, covering visa processing, document drafting, company registration, and compliance services related to Value Added Tax (VAT), Economic Substance Regulations (ESR), and Ultimate Beneficial Ownership (UBO).